I read an article last week (on Wednesday) in USA Today that discussed a topic I found to be disheartening but not surprising. Bankruptcies are once again on the rise and expected to hit levels not seen since 2005 when the new filing regulations took effect. It got me thinking about our seniors.
We know that bankruptcies among our senior population have been on the increase but what about now, in this current economic environment? Have some just given up, having been laid off from their job or unable to find gainful employment and cannot make that monthly mortgage payment?
What can we as reverse mortgage originators do to assist these folks who may feel they have no alternative except to file a bankruptcy? And even worse, when they do consult with an attorney, they learn they are not eligible to file under the new regulations? At that point they must think there is no help for them out there.
Make it your mission this week to seek an introduction to at least one attorney who specializes in bankruptcy. These attorneys need your help. In situations where the senior cannot file, perhaps due to their equity position, you can fill that void. The reverse mortgage can be the perfect solution in many of these cases.
Even better than a bankruptcy, the senior's credit will not be further damaged and they will not feel the sting of the stigma that they may still attach to bankruptcy. Remember, you are dealing with a different generation and the thought of a bankruptcy to them may signify failure.
Be that knight in shining armor for these folks and the solution for the attorney who now knows of a good alternative when faced with a senior client he or she cannot help. Continue to position yourself as the reverse mortgage expert in your local area, and continue to serve our seniors.
Sue Haviland is a reverse mortgage consultant in Baltimore and the founder of Reverse Mortgage Success, a leader in the training and education for originators around the country in the rapidly growing reverse mortgage arena. Sue has worked in the lending industry since 1981. She has been originating reverse mortgages for the last six years and still originates loans every day. She has helped hundreds of families all over the country in the last several years. Sue also shares her knowledge of this market in presentations before the Women's Council of Realtors, Mortgage Bankers Association, National Association of Professional Mortgage Women, and SRES - Senior Real Estate Specialists, Brian Sacks' Insider Seminars, as well as the public. Sue is a Certified Senior Advisor and is active in many professional organizations. Sign up for her free seven-part mini-course at
